Welcome back to the Naples Life Insurance & Annuity Advisors blog! Lately, we’ve been talking about all things life insurance. Life insurance is one of those things that many in the Naples area have heard of, but few know the full advantages that life insurance can provide. Because many people don’t know the true value of life insurance, they don’t know when to invest in their own policy. As we addressed in part one, there is never a wrong time to purchase a policy. However, the purpose that you hope your policy will serve will determine what type you purchase.
If you haven’t yet, read part one of our short blog series, or contact the life insurance experts at Naples Life Insurance & Annuity Advisors. We would love to help you have a bright future.
Reach long-term goals
One of the main purposes of a life insurance policy can be to substitute the lost income of a family’s main breadwinner. Usually, we think of this as covering the costs of living, such as grocery bills, mortgage payments, and other crucial expenses that could put a family on the street if they aren’t taken care of. However, lost income also means a missed opportunity to reach long-term goals such as saving for college, retirement, and other big savings goals. By investing in a life insurance policy, you can make sure that your children can go to college or your spouse can retire when they want to.
Provide investment opportunities
Life insurance doesn’t just cover assets that could be lost. A policy can also provide investment possibilities. Permanent policies and those term life insurance policies that can convert into a permanent policy can provide a cash value. You may extract that cash value from your policy to invest in other opportunities, to pay for a large expense, or provide a supplemental means of income during retirement.
Maintain a standard of living
For some families, if the main breadwinner passes away, they won’t be in a bad position financially. They won’t have to worry about being put out into the street. However, these same families would have to make moderate to severe changes to maintain their current standard of living. To some, this may not seem like as big of a deal — they have a roof over their head, right? — but “standard of living” isn’t just referring to elements that don’t really matter when it comes to survival. Not having the money that your family needs could change their access to expensive medications they may need or the amount of expendable income that they can use to spend time with friends — friends that they will need when you are gone.
To make sure that your family is well taken care of after you pass away, and to provide yourself investment opportunities and peace of mind, purchase a life insurance policy. We at Naples Life Insurance & Annuity Advisors would love to help you get a policy that will fit your needs and the needs of your family. Visit our website to learn more.